Costs fell faster than revenue, lifting CLSEL's margin to 20.81%
Net profit rose 75.96% QoQ, but other income contributed 13.48% of pre-tax profit.
Filed 12 Nov 2026, 16:55 IST · after market close · Chamanlal Setia Exports Ltd (CLSEL)
Key takeaways
- Standalone operating margin widened 8.22 percentage points QoQ to 20.81% as expenses fell 13.90% while revenue declined 4.96%.
- Standalone net profit rose 75.96% QoQ to Rs 56.29 cr, helped by a 354.71% increase in other income, which contributed 13.48% of pre-tax profit.
- At 20.81%, operating margin was 10.12 percentage points above the median of 74 reported FMCG peers.
Price around the results
Expense control drove the margin rebound
Standalone revenue declined 4.96% QoQ, but expenses fell faster, by 13.90%. That cost reduction lifted operating profit 57.13% and widened operating margin by 8.22 percentage points to 20.81%. Sequentially, margin recovered from 12.59% in Q1FY27.
Other income added to the profit increase
Other income rose 354.71% QoQ to Rs 10.14 cr and accounted for 13.48% of pre-tax profit, so the earnings increase was not entirely operating-led. The tax rate was unchanged at 25.17%, while interest expense rose 14.77%.
Margin stayed above the reported peer median
CLSEL's 20.81% operating margin was 10.12 percentage points above the 10.69% median for 74 FMCG companies that had reported the quarter. The comparison supports the view that the quarter's margin was high relative to the sector group, even as revenue declined sequentially.
Results were filed after market close
The company filed these standalone results after market close on 12 Nov 2026. The update therefore focuses on the reported quarter rather than a post-results stock move.
Q2FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹329 cr | ₹346 cr | -4.96% |
| Other income | ₹10 cr | ₹2 cr | +354.71% |
| Expenses | ₹260 cr | ₹302 cr | -13.90% |
| Operating profit | ₹68 cr | ₹44 cr | +57.13% |
| Operating margin (%) | 20.81% | 12.59% | — |
| Interest | ₹2 cr | ₹2 cr | +14.77% |
| Depreciation | ₹1 cr | ₹1 cr | +3.91% |
| Profit before tax | ₹75 cr | ₹43 cr | +75.95% |
| Tax | ₹19 cr | ₹11 cr | +75.93% |
| Net profit | ₹56 cr | ₹32 cr | +75.96% |
| EPS (₹) | ₹11.33 | ₹6.44 | +75.93% |
Operating margin of 20.81% compares with a Fast Moving Consumer Goods sector median of 10.69% across 74 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 20.81% after the Q2FY27 expansion.
- Whether expenses continue to grow more slowly than revenue, following a 13.90% QoQ decline.
- Whether other income remains a limited contributor relative to its 13.48% share of pre-tax profit.